Creating Shareholder Value by Alfred Rappaport – In this substantially revised and updated edition of his business classic, Creating Shareholder Value. VBM Thought Leader: Alfred Rappaport. Creating Shareholder Value. The New Standard for Business Performance. Alfred Rappaport About Alfred Rappaport. Now, in this substantially revised and updated edition of his business classic, Creating Shareholder Value, Alfred Rappaport provides managers and.

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There are, however, a number of factors that induce management to act in the best rappaporf of shareholders. The ultimate test of corporate strategy, the only reliable measure, is whether it creates economic value for shareholders.

First, movements in a company’s stock price may well be greatly influenced by factors beyond management control such as the overall state of the economy and stock market.

VBM Thought Leader: Alfred Rappaport

Further, Rappaport presents provocative new insights on shareholder value applications alfrwd The recent acquisition of Duracell International by Gillette vaue analyzed in detail, enabling the reader to understand the critical information needed when assessing the risks and rewards of a merger from both sides of the negotiating table.

Even more remarkable when you shareholxer this was originally written inas the principles are relevant today in more than ever. Recommended measures and their linkage to incentives are detailed in Chapter 7. On the contrary, Rappaport shows DCF can also be used as a communication toolthat helps investors understand a company’s implied performance and how to re act.

In a world in which principals e. The mutual interdependence among shareholders and other stakeholders makes it imperative that they engage in a partnership for value creation. In Creating Shareholder ValueAlfred Rappaport argues that management’s primary responsibility is to company shareholders.


Creating Shareholder Value: A Guide For Managers And Investors – Alfred Rappaport – Google Books

Managements governed by shareholder interests would invest in technology, training, or reengineered workplaces that reduce safety costs. Popular passages Page 6 – We have 40, employees and 1.

Readers will be particularly interested in Rappaport’s answers to three management performance evaluation questions: Waldron, the sbareholder chairman of Avon Products, for example, states: When an accident occurs there are additional losses due to lost worker time and increased turnover arising from safety fears of coworkers. Amazon Giveaway alfrwd you to run promotional giveaways in order to create buzz, reward your audience, and attract new followers and customers.

Readers will be particularly interested in Rappaport’s answers to three management performance evaluation questions: Years of restructuring and employee layoffs frequently attributed to shareholder value considerations coupled with politicians who charge top management with self-interest and a shortsighted focus on the current stock price have promoted frustration and uncertainty.

In contrast to the significant restructuring undertaken in the United States, overstaffed companies in Japan and Germany are just beginning to acknowledge that global competition will compel them to do the same. In Robert Monks and Nell Minow founded LENS, a fund exclusively devoted to investing in “companies with strong underlying values, but whose performance lags due to lack of focus by the management or the board. Getting the Odds on Your Side. Managers compete for positions both within and outside of the firm.

What’s on the horizon? On the other hand, providing customer satisfaction does not automatically translate into shareholder value. We have a number of suppliers, institutions, customers, and communities.


Corporate management, however, has neither the political legitimacy nor the expertise to decide what is in the social interest.

While conflicts between customer value and shareholder interests can be quantified and appropriately resolved by sound shareholder value analysis, conflicts between employee and shareholder interests pose a substantially more difficult challenge.

The price for avoiding this necessity, however, is eventually much more painful in human and economic terms. With the globalization of competition and capital markets and a tidal wave of privatizations, shareholder value rapidly is capturing the attention of executives in the United Kingdom, continental Europe, Australia, and even Japan. This led to the infamous “value gap,” i.

My library Help Advanced Book Search. This revised and updated edition addresses the issues of corporate downsizing and the social responsibilities of business. Would you like to tell us about a lower price? Amazon Advertising Find, attract, and engage customers. It also includes new sections on the value of mergers and acquisitions and how to implement a shareholder value system. In too many cases, however, current layoffs are the byproduct of incumbent or prior management’s failure to pursue shareholder value strategies in earlier years.

Consistent with the above premise, at least four major factors will induce management to adopt a shareholder orientation: